Trilantic Capital Partners Closes in on Debut Deal
Christopher Witkowsky - Private Equity Online
The Lehman Brothers spin-out is investing $130 million in portfolio company Enduring Resources, which buys and exploits properties with natural gas resources.
Lehman Brothers Merchant Banking spin-out Trilantic Capital Partners is closing in on its first-ever deal with a $130 million growth capital investment in existing portfolio company Enduring Resources.
Enduring acquires and exploits properties with natural gas resources, and Trilantic’s additional capital infusion will allow the company to develop numerous properties that it owns. Trilantic’s investment is slated to close by the end of the month, according to Chris Manning, a partner with Trilantic.
Trilantic’s former parent, Lehman Brothers, invested in Enduring Resources in 2004 along with EnCap Investments, Credit Suisse and Avista Capital Partners. Lehman invested in Enduring out of its Merchant Banking Fund III.
“We like the fundamentals of natural gas in the US, the prices are challenging right now, but that won’t last forever,” Manning said.
Trilantic spun out of Lehman Brothers Merchant Banking in April, after more than 300 limited partners in the Merchant Banking funds voted to approve the deal.
Trilantic manages about $3.3 billion in assets, including about 20 holdings in Lehman’s Merchant Banking Funds III and IV. The firm has $1.7 billion of dry powder.
Charlie Ayres, head of Trilantic, said the firm is exploring several interesting investment opportunities, and is “looking forward to investing in a more attractive and sober environment” than the buyout boom of the past few years.
Trilantic Capital Partners manages funds that seek significant long-term capital appreciation through direct investments in established operating companies in partnership with management. The funds invest in companies with sound business fundamentals, proven operating teams and a compelling business strategy. Since 1986, Trilantic has raised and managed four institutional funds and several employee investment vehicles, with total committed capital in excess of $8.0 billion. To date, Fund IV has made investments of approximately $800 million in aggregate. Further commitments by limited partners to invest in Fund IV currently amount to $1.7 billion. www.trilanticpartners.com.
About Trilantic Capital Partners (formerly Lehman Brothers Merchant Banking)